Resolving Issues During Construction

I wish I could say that we all live in a perfect world and nothing ever goes wrong, but we all know that isn’t the case. So what do you do when you find yourself stuck with a problem?

I recently had something happen on a project that was quite unexpected and was urgent in nature that would create a very unsafe condition had it not been dealt with quickly and accurately.

So what did I do?

• First, I told the major stakeholders involved about the problem. In this case, those parties are the Owner, design consultants and the contractors directly affected by the issue. You never want to keep an issue a secret and try to figure it out on your own. Even if you know the answer to the problem, it is always best to get it out in the open and discuss it as a team especially if the issue impacts more than yourself.
• Second, was to discuss a resolution with the professional consultants that were on the team. The problem was beyond the Owner and was building related and needed the input of design professionals.
• Lastly, we pulled together a couple options to resolve the problem, presented them to the Owner, and as a team we decided on what would be the win-win resolution.

The problem was successfully resolved and the project continued moving forward.

The next time you find yourself “stuck” with an issue on a construction project it is best to resolve it as a team because you are all in it together.

What Is the Purpose of Contingency?

Contingency is an amount of funds set aside in the project budget to cover the things that were missed during the design phase of a project prior to the start of construction. This amount could be set aside by the Owner or Builder, but it has to be defined at the beginning of the project as far as who has ownership of it. Owners and Builders find themselves debating about the contingency during the construction phase if the “ownership” is not clearly defined prior to the start of work.

In the case of a guaranteed maximum price, the Builder often establishes an amount to cover those items, usually very minimal, that he may have missed during the designing and budgeting portion of the project. Mistakes happen and that is why we have a contingency for just such an occasion.

When the Builder sets it aside for his purpose, the Owner technically can’t spend it. When the Owner sets it aside for his purpose the Builder can’t touch it either. Sometimes the contingency is established for use by both parties, but that is decided up front prior to the start of construction. Often times the Owner thinks they can spend the Builders contingency on change orders, but that isn’t correct. The contingency is a method of risk management to cover missed items in the budget that needs to happen on the project and not discretionary funds for the Owner to use when they change their mind about something.

When a contingency is included as part of the project, it is wise to declare the amount up front, what it will be used for and who has ownership of it. That one step will remove all doubt and eliminate the potential for disagreements later in the project regarding the contingency.

 

 

What Is A Change Order?

Everybody who embarks on a construction project tries to do all the planning they can to avoid change orders during construction. That is always the goal, but sometimes it doesn’t work out that way.

So what is a change order? A change order is simply a change in the scope of the work of the project. It occurs when the Owner changes direction regarding a portion of the project.

Let’s face it; we are a culture of people that thrive on having the latest and greatest things. When something new is introduced to the construction industry, and if the Owner wants that instead of what he is supposed to be getting, he has the right to change his mind. Or, if the Owner realized they missed something, which can happen, they make the correction before the project is completed. A change order will be issued to all parties involved so they know to change direction on the project. Without a change order, the builder does not have the right to divert from the construction documents.

Of course, change orders are more costly during the construction phase of the project because by that time many decisions have been made regarding the project and purchases finalized and sometimes products even shipped. The best time to change one’s mind is when you are in the design phase. It is much easier to move a wall on paper than after it is constructed.

Painting the Picture with a Scope of Work

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The Scope of Work paints the picture of what is included in the project, as well as what is excluded.

The materials used for the:

• Structure
• Flooring
• Walls
• Ceiling
• Exterior
• Plumbing fixtures
• Electrical fixtures
• HVAC system

…..are all indicated in this Scope.

This helps to give a clear indication of what the project will look like.  It also helps eliminate “mutual mystification” if the owner and construction professionals are on a different page.

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The Scope of Work also helps to clearly define the items, and level of finishes, that are included in the Budget.  The Sketches, in conjunction with the Scope, really start to focus in on the detail of the project, making a clear picture for the leadership of the organization to understand.

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√ This Scope also becomes another “check and balance” as the drawings and specifications should be based on this document.  This will help eliminate “scope creep” as the design professionals already have a clear understanding of the project elements.

√ The Scope of Work helps to eliminate surprises with both the cost of the project and the materials and finishes in the project at this early stage…..which will also be the checklist at the final stages…..and ultimately the end result as the organization takes over the keys of the project.

How Sketches Boost Fundraising and Morale

Towamencin Corporate Center

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A “picture is worth a thousand words” is still very true today.  A Sketch is a way of capturing all of the ideas from the Vision planning, through the Programming, and then into a 2 dimensional floor plan…..clearly showing hundreds of ideas in a simple pictorial diagram.

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This milestone transitions all of the ideas spoken verbally, and then written down in text, into a picture that everyone can understand.  With the use of color indicating the different functions and programs, this Sketch can easily show how the new facility will be improved and inspire everyone within the organization at this time.   They can see how their ideas have been incorporated into a plan that is actually taking shape, and becoming a “real” project. Everyone can also see how the new ideas, programs, and growth of the facility are being planned…which should be very exciting.

♦ The Sketch will also show the Master Plan and different Phases
…reflecting the “dream.” 

This Sketch should show how everyone’s ideas were incorporated into the project….possibly not in the first phase, but ultimately in the Master Plan.  Since they have been “heard” and not ignored in this journey, they should feel part of the team, increasing their trust and faith in the future of the organization. This should ultimately increase their desire to help support the project financially, as they can see the “talk” develop into the “walk.”

The Importance of Programming – No Matter the Size of the Project

• Programming is the process of putting down on paper all of the different functions that an organization would like to have happen within the walls of the facility.  It is the transition from the Vision, Dreams, and Needs to actually compiling a list of spaces, their occupancies, and their adjacencies to other spaces.
  

  Lancaster Bible College – Good Shepherd Chapel Renovations

This is a critical step, regardless of how big or small a project, for many reasons:

• It is the first “check and balance” that all of the functions from the Vision planning for the organization are clearly compiled.

•  This list can then be a reference during the entire journey of the project.

•  This is also the first time that the design professional can add basic function requirements such as rest rooms, janitor rooms, elevators, mechanical rooms, etc.  In addition, a formula can be used for an allowance of horizontal and vertical circulation, such as corridors and stair towers.

This is important because all of these rooms and elements require space, and this space adds up…..with regard to actual square footage, cost, and feasibility on the site.  The occupancy of each space is also very important as this number should be a “projection” for 5 to 10 years into the future, not present day needs.

If the space is planned for the present, it will be too small once the project is complete or in the very near future, and the project will not be helpful to the organization.  It is also imperative to list the required adjacencies for any spaces at this time. These adjacency needs should have been discussed during the Vision planning……and they do not want to be forgotten after sketches begin.

Once the entire Program is complete it is the benchmark for the overall square footage needs as well as code requirements for the different assembly areas. It is also useful to see if the overall squared footage is feasible on the site or within the parameters of the project. This overall Program can also then be analyzed and broken down from the “Master Plan” into “Phases.”  Once the Program is reviewed and approved by the organization, it becomes the basis for the Sketches from the design professional…and another step in the journey begins.

The Role of Subcommittees in the Process

Subcommittees play an important role in the journey of a construction process.  They are essential in getting more people from the entire organization involved in developing the Vision and creating the basis of Grass Roots Support.

Spanish American Civic Association – Lancaster, PA

• As the core communication team reaches out to get more information, these subcommittees will bring the needs and priorities to further the organization to the forefront of the leadership.

• Each member of the core team should lead or chair one of these subcommittees.

• The subcommittees can be divided into Programmatic groups, based on the type of organization and its functions.

• The construction professionals can then furnish detailed questions for these subcommittees to answer at separate meetings.

• The core team leader will facilitate these meetings and collect all the answers to the questions, any notes, and any other issues that arise, which could be quite invaluable information.  The core team leaders do not have to be the expert in these different programmatic areas…..the members of their subcommittees are the experts.  They have the knowledge and experience of what works or not, what functions the best or not, what layouts and equipment are a benefit or not.  They also have the hands on experience with the present building conditions.

Since the construction professional will not be present at these subcommittee meetings, everyone should be comfortable speaking openly and honestly among their own colleagues about current and future needs.  After all of these subcommittee meetings happen, in a timely fashion, the core team meets at the Vision Meeting to share all of this information with each other and the construction professionals.

Continuing the communication and relationship with subcommittees throughout the construction project is vital to strengthening the foundation of trust, honesty, communication, respect and the aspect of listening.

It does not mean that all of the input from the subcommittees is feasible in the project, but the open lines of communication can include the discussion of how their ideas are reflected, or why not, in the project.

Developing the Vision and Mission

Brandywine Assisted Living at Fenwick Island, DE

The Mission is the core philosophy for all strategic and daily decisions of the organization.

Many times, the Mission is refined to a simple statement or phrase, so it is easily remembered by all. Regardless of a construction project, every organization should have a Mission to stay on track with their overall strategy.

The Vision is the breathing, living, development of the organization based on that Mission.

The Vision includes the Grass Roots Support of an organization, so everyone can be involved and support this process, in the following ways:

• The core leadership team of an organization can have each of its members form a subcommittee and lead these subcommittees in an organized fashion to ascertain information on what will help grow the Mission and organization.

• The construction professionals can help furnish questions to these subcommittees to learn more about how the organization is structured, operates, and help them figure out what is really needed in a physical building to carry out their needs and dreams to grow the organization.

• If someone wants to be included, but cannot be a part of the process for a variety of reasons, they can still give their ideas to the subcommittee that is part of that programmatic area.

Each subcommittee will then be responsible to answer all of their questions, as well as provide more information, on a timely basis. The chair of these subcommittees, which are the members of the core team, will then reconvene and share all of their information at a Vision meeting with the construction professionals. 

This information will be the basis of a Program for the present needs, as well as the future dreams.  A Master Plan can then be formed, which is driven by the Vision and Mission.  The Vision can be utilized in a variety of ways and is very healthy for an organization, in and of itself, as it is a tool to help think of ways to grow and be even more successful.  Even if a Master Plan ends due to financial and other constraints, it creates the “Dream on Paper,” so people can physically see how future needs and ideas can be carried out within the site and building.  It transcends the Vision of one person into the Vision of the entire organization.

What does “Grass Roots Support” mean?

Grass Roots Support means that the overall consensus of your organization understands and supports the concept and motives for a construction project.  They understand that the end results will produce an improved facility that will enable the programs and functions within to flourish and “go to another level.”

Garden Spot Village – Village Square Apartments

This support is critical to the success of a project in many ways:

• Patience and “open minds” will be needed as a construction project typically involves “change” in one form or another. 

• Support will also be required, whether financially or a positive attitude, or both, as the facility will be transformed as part of this journey. 

One of the keys to creating this grass roots support is communication…both ways. 

It is very important to include, and then listen to, the people of your organization to find out their needs and desires to improve the facility.  Likewise, it is extremely beneficial to communicate the overall vision of the project to your organization.

Hopefully, the vision of the project overlaps with their needs and desires.  However, it is extremely important to show the people of your organization the initial “schematic” sketches of a project to reflect how their ideas may or may not be in the initial phase of a project, or the overall master plan.

This communication needs to happen early in the process to strengthen trust.

It is very common for the people of an organization to have “their” idea as a priority for any project.  However, in the context of the overall mission and vision of an organization to advance, it is vital for all people to see how their ideas blend into the bigger picture.  This involves constant communication between the leadership and the people of the organization to maintain and strengthen this support from a basic level to the most advanced level.

Pulling the Team Together

It is extremely helpful for an owner to have a core team together for the duration of a construction project.   The makeup of this core team does not necessarily have to be people experienced in the different construction trades.

The priority of this team should be:

* obtaining and communicating the vision and priorities of the project, on behalf of the organization, to the construction professionals. 

There are numerous “checks and balances” during this process that will ensure conformity to code and the highest construction standards. From the initial concept, through schematic design, and during the entire construction process, this team will be involved with the communication dialogue between the owner and the construction professionals.

This team will be invaluable with regards to:

• Some of the information will be communicated via verbal dialogue at the meetings and possibly not on paper.

• Having the knowledge and experience of the mission, vision, and operation of their own entity, and being able to give important insight to the success of the project.

• Being able to tap into the knowledge of key individuals or groups within the organization to add another layer of information and needs, as well as key fundamental support, to the priorities of the project.

• Hearing the disseminated information from within the organization, so they are aware of the reasons for certain decisions to have been made throughout the journey of a project.

• Being the liaisons back and forth from the organization to the construction professionals to keep everyone aware of the progress of the project, as well as the timely decision making process. 
  

One of the keys to a successful project is for the overall priorities of the organization being communicated to the construction professionals on a regular basis by the core team.